When you obtain a website hosting server with the idea to start your own hosting company and to resell packages to various people, you may as well wish to sell domain names, so that you can give your clients the option to buy everything they need for their new site from just a single place. Being a certified registrar involves thousands of dollars and a considerable amount of documentation, so the most convenient solution is to sign up for a domain name reseller account with an existing registrar company. Your reseller website will be linked to that account via the registrar's API. To use this type of account has various pros - your customers can buy and to take care of new domains with ease; the cost of a new registration will be lower compared to what you'd need to pay as an end customer; last but not least you are able to start reselling immediately. The registrar companies which sell domain reseller accounts often want some money as a deposit.